Post acquisition, Lionsgate sheds 80 staff

MUMBAI: Following Lionsgate’s purchase of Summit Entertainment last January, the former has begun laying off about 80 of its employees.

Most of the layoffs came in the motion picture and home entertainment divisions, where the two companies had the most overlap and staff reductions were expected, it is said.

The lay-offs represent 12 per cent of the combined company. Of a total staff of 675, Lionsgate has about 500 employees, while Summit has around 175. The company is aiming at bringing the number down to around 575.

Last Friday the company announced that its COO Steve Beeks had signed a new long-term agreement and is also taking on the additional title of president of the Lionsgate motion picture group.

“With the growth of our combined operations through the recent Summit acquisition and a combined feature film slate that is now capable of generating a billion dollars a year at the North American theatrical box office alone, Steve‘s ongoing focus on financial discipline, cost control and overhead management is more critical than ever,” Lionsgate CEO Jon Feltheimer said in a statement.

Besides Feltheimer, Beeks will also report to Lionsgate motion picture group co-chairs Rob Friedman and Patrick Wachsberger in his new president role for that division.